[2008-10-10]  ZSE shares trade mixed
SHARES on the Zimbabwe Stock Exchange yesterday traded mixed after rioting to break the one billion-point on Wednesday, as other world shares crumbled on the financial crisis.

At the close of trade yesterday, the mainstream industrial index was down a fractional 0,1 percent to 1 184 916 049.03 points after losses in heavyweights Delta, Econet, Innscor and other second liner shares.

Minings fell heaviest losing 16,04 percent to 1 254 987 380.21 points, as Bindura, RioZim and Hwange dragged. Over the past week, minings had fallen below industrials, as world commodity prices fell.

In Wednesday trading, industrials, which opened the week firm, extended the gains rising 22,32 percent while the resource index ended higher 24,86 percent.

Yesterday, equities were volatile, as investors took profits from a market that has shown no respect for gravity, and even world events.

Of the index shares yesterday, 21 counters declined, 24 gained and 34 traded unchanged.

At least 15,4 million shares worth more than $1,3 trillion were traded at the market yesterday. Total market capitalisation reached US$4,6 billion, which is sharper from around US$3,5 billion in the week ago period.

Over the year, the industrials are up 619 billion percent and minings have posted a growth of 513 billion percent since January. This compares with July annual inflation of 213 million percent.

Investors have used the equities, as hedge against inflation. To an extent, the market has managed to preserve the value of the dollar against runaway inflation.

Whereas other world stock exchanges are buckling under the weight of the US-triggered financial crisis, the Zimbabwe Stock Exchange has continued to glow due to the country’s limited exposure to global financial markets.

Trading in Indonesia and Russia’s two stock exchanges was banned after losses of more than 10 percent.

The JSE All Share Index opened 800 points lower on Wednesday morning to trade below 21 000 and lost more 254 billion rand in Tuesday trading.

Of the ZSE shares yesterday, Delta lost 10 percent and Econet was down 1.4 percent. The biggest declines were, however, noted in Mashonaland Holdings down 91 percent and CFI that lost 90 percent.

Trust continued with its decline finishing lower 40 percent at $120 000 after having faltered to deceive with a re-listing price of $300 000 last week Thursday.

In mining, Bindura and Hwange lost 20 percent each and Rio Zim dropped 25 percent. Falgold rose 60 percent. Chemco and Apex gained 40 percent and 33 percent respectively.

Of the index shares, Ariston led movers doubling its price to $55 000 while market maker, Old Mutual gained 60 percent.




Source: THE HERALD